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Do you need to pay income tax on interest earned on fix deposit even tds deducted by bank already?
Wiki User
∙ 13y ago
Yes all interest income is reported on the income tax return. tds (Tax Deducted at Source). At present NO interest income is exempted from tax .
On the federal 1040 income tax return you do have some types of interest that is exempt from income tax but the amount still has to be reported on the 1040 federal income tax return..
Wiki User
∙ 13y ago
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What is not a considered a debit?
direct deposit
Do you pay tax on a lottery win in the UK?
Not directly. You receive the total prize allotted for the numbers you have registered - there is no tax deducted. However - once you deposit your winnings into a bank account, you will pay tax on any interest earned.
Where could a person find the interest rates for certificates of deposit?
A person could the interest rates for certificates of deposit by using an interest rate calculator where the amount of the deposit is entered into an equation and the end result will be how much interest will be earned for the term you want.
What is the process of earning interest on interest that you've already earned?
compounding
The earned interest on deposit is a credit or debit entry and against what should be done?
credit
Calculation of interests on various deposits in bank with examples?
Lets say you are going to deposit $1000 in your bank for one year. a. Savings account - 1% rate of interest - Interest earned = $10 b. Certificate of Deposit - 4% rate of interest - Interest earned = $40 checking account has little or 0% interest so I havent used it here.
Why would your broker have you filed a 1099?
Gains from a sale, or interest earned on a deposit are income, and must be reported.
How do you make journal entries on provision on interest on fixed deposit?
To make a journal entry for provision on interest on fixed deposit, you would debit the Provision for Interest on Fixed Deposit account to recognize the expense and credit the Interest Income account to reduce the income earned on the fixed deposit. This adjustment ensures that the financial statements reflect the estimated liability for future interest payments accurately.
What type of interest is interest paid on the amount of your original deposit plus on any interest that you have earned previously on the money in an account?
it is any interest after the first compounding there isn't a special name for it...
When the amount earned on a deposit has become part of the principal at the end of a specified time period the concept is called?
compoind interest
How much interest is earned in 9 months on a deposit of 7000 at 8 percent simple interest?
70 x 8 x 3/4 ie 420
When the amount earned on a deposit has become part of the principal at the end of a specified time period the concept is called Answer discount interest compound interest primary interest?
If the interest is reinvested and so itself gains interest (in the next interest period) it is compound interest.
